Category: Debt

Stock-taking?: Part 2, “An unconfirmable plan”

16 October, 2014 (10:00) | Bankruptcy, Bonds, California, Debt, Markets, Municipal bankruptcy, Pension funds, Primer posts, Stockton |

[Continued from yesterday’s Part 1.] By: David A. Smith Do I have your attention now? Yesterday we saw, via simultaneous articles in The Sacramento Bee (October 1, 2014) and Los Angeles Times (October 1, 2014; navy font), that despite the City of Stockton’s willingness to keep paying CalPERS at 100% even as other creditors were […]

Stock-taking?: Part 1, “Simply Invalid”

15 October, 2014 (10:00) | Bankruptcy, Bonds, California, Debt, Markets, Municipal bankruptcy, Pension funds, Primer posts, Stockton | 1 comment

By: David A. Smith As politics is the process that advances the interests of the majority, law is the process that protects the interests of the minority, and when those who make the laws find themselves forced to live with laws others have mad, including the bankruptcy laws and the Constitution from whence they derive, […]

The principal of the thing: Part 3, protecting our interest

26 October, 2011 (10:02) | Debt, Foreclosure, Hard debt, Hard equity, Homeownership, Housing, Interest, Negotiation, Principal, Subprime, US News, Workouts | 2 comments

By:David A. Smith   [Concluded from yesterday’s Part 2 and the previous Part 1.]   So far in this lengthy post we’ve dismantled two pillars of the argument, advanced by a recent New York Timesarticle, that Fannie Mae and Freddie Mac are acting arbitrarily in refusing to allow waivers of principal on home loans they […]

The principal of the thing: Part 2, keeping their interest

25 October, 2011 (10:49) | Debt, Foreclosure, Hard debt, Hard equity, Homeownership, Housing, Interest, Negotiation, Principal, Subprime, US News, Workouts |

By:David A. Smith   [Continued from yesterday’s Part 1.]   Yesterday we showed that, despite what a recent New York Times article would have you believe, refusal to agree on unilateral cuts of mortgage principal owed by homeowners whose houses may be worth less than those loans isn’t stubbornness by a single individual but is rather […]

The principal of the thing: Part 1, getting their interest

24 October, 2011 (10:59) | Debt, Foreclosure, Hard debt, Hard equity, Homeownership, Housing, Interest, Negotiation, Principal, Subprime, US News, Workouts |

By:David A. Smith   Precedent is an asymmetric concept; if I as a borrower want to misbehave, anything I do has no binding effect on any other misbehaving borrower, but if I as a lender adopt a position with one borrower, that can certainly bind me in dealing with other borrowers.     Too many […]